Are employers allowed to enter into labor contracts with themselves in Vietnam?
May I ask if the General Director who is also representing the company (the Employer), can he/she sign the labor contract with himself/herself?
Clause 3 Article 18 of the 2019 Labor Code provides for the competent person to sign the labor contract with the employer as follows:
3. The person who concludes the employment contract on the employer’s side shall be:
a) The legal representative of the enterprise or an authorized person as prescribed by law;
b) The head of the organization that is a juridical person, or an authorized person as prescribed by law;
c) The representative of the household, artels or an organization that is not a juridical person, or an authorized person as prescribed by law;
d) The individual who directly hires the employee.
At the same time, Clause 3, Article 141 of the Civil Code 2015 provides:
3. A natural or juridical person may represent multiple natural or juridical persons but he/she/it may not, on behalf of the principal, enter into and perform a civil transaction with him/her/it or with a third party that he/she/it also acts as a representative therefor, unless otherwise prescribed by law.
Thus, in this case, you are both the General Director and the representative of the company, you can not sign the labor contract with yourself on behalf of the company.
Best Regards!
